Abstract/Description

A review of the WTO agricultural negotiations and their implications for...

Notes

A review of the WTO agricultural negotiations and their implications for developing countries is the subject of a report published in March 2003 by Tim Ruffer (Oxford Policy management) and Alan Swinbank (University of Reading). The report, which was based on a DfID financed study, summarises the most important issues arising for developing countries in the WTO agricultural negotiations in the context of the Harbinson drafts. It looks at issues under five headings: market access; domestic support; export subsidies; the peace clause; and support for developing countries. Its main conclusions are that:
market access liberalisation will 'reduce the preferences margins that some developing countries currently enjoy'. Accordingly the authors make a number of recommendations, the most significant of which is for the extension of special safeguard mechanisms for key food commodities for developing countries;
concerning domestic support, the blue box should be eliminated, and there should be no extension of the green box as this could harm the interests of developing countries;
developing countries should push for the elimination of export subsidies;
developing countries should hold back on approval of the extension of the peace clause until firm assurances have been received on their areas of concern.
Comment:
In calling for the elimination of the 'blue box' and the maintenance of 'green box' provisions within current limits the analysis ignores the reality of the EU position which will require an extension of the green box provisions if it is to accept the elimination of the 'blue box'. It needs to be recognised that the EU is only likely to accept a timetable for the elimination of export subsidies which is consistent with the internal process of CAP reform designed to eliminate the need for export refunds.